Quick Answer
M-Pesa charges in Kenya for 2026 vary by transaction type and amount. Sending KSh 101–500 costs KSh 7, while transfers from KSh 20,001 to KSh 250,000 attract a flat fee of KSh 108 . Withdrawals from agents range from KSh 11 (for KSh 50–100) to KSh 309 (for KSh 50,001–250,000) . Transfers of KSh 100 and below are free under the M-Pesa Kadogo initiative, which facilitated 17.1 billion free transactions in 2025/2026 . For more financial guides in Kenya, Get more articles :https://leadspro.co.ke/blog covering personal finance and money management.
What Are M-Pesa Charges?
That KSh 7 deduction from your KSh 500 transfer might seem small, but those charges add up over time. Understanding the M-Pesa charges in Kenya is essential for managing your daily expenses and saving money. This comprehensive guide covers every fee, limit, and charge for sending money, withdrawing cash, and using Fuliza in 2026, with practical tips to help you minimize costs.
M-Pesa charges are the transaction fees Safaricom levies on mobile money services. They apply to sending money to other mobile money users, withdrawing cash from M-Pesa agents or ATMs, and using credit facilities like Fuliza .
These fees matter because they affect every Kenyan who uses mobile money. With over 60% of M-Pesa transactions being free under the Kadogo initiative , understanding when charges apply helps you minimize costs. The fees are regulated by Safaricom and are subject to government excise duties.
M-Pesa Transaction Limits (2026)
Before diving into the charges, here are the limits that apply to all personal M-Pesa accounts:
| Limit Type | Amount |
|---|---|
| Maximum per transaction | KSh 250,000 |
| Daily transaction limit | KSh 500,000 |
| Maximum account balance | KSh 500,000 |
| Minimum send | KSh 1 |
| Minimum agent withdrawal | KSh 50 |
| Minimum ATM withdrawal | KSh 200 |
These limits are set by the Central Bank of Kenya and have not changed since August 2023 .
Why M-Pesa Charges Matter to You
Every shilling you send or withdraw comes with a cost, and over a year, these fees can add up to thousands of shillings. Understanding the M-Pesa charges helps you save money.
- Free transactions for small amounts: Transfers of KSh 100 and below are completely free under M-Pesa Kadogo, which covers 58% of all transactions .
- Flat fees for large transfers: Once you send over KSh 20,000, the fee is capped at KSh 108 .
- ATM withdrawals have different fee bands: ATM withdrawals cost KSh 35 for amounts up to KSh 2,500, while agent withdrawals cost KSh 29 for the same range. However, ATM fees go up faster for larger amounts .
- Fuliza charges add up quickly: Borrowing via Fuliza incurs a 1% access fee plus daily maintenance fees, making it expensive if not repaid promptly .
“With M-Pesa Kadogo, our purpose is to make digital payments affordable for small-scale daily purchases and deepen financial inclusion.” — Peter Ndegwa, Safaricom CEO
Complete M-Pesa Charges Table 2026
Send Money Charges
This applies when you send money to another M-Pesa user, Pochi La Biashara, or a Business Till. Transfers to Airtel Money and T-Kash now match the rates for Safaricom-to-Safaricom transactions .
| Amount Range (KSh) | Transfer to M-Pesa Users / Pochi La Biashara / Business Till to Customer | Transfer to Other Registered Mobile Money Users |
|---|---|---|
| 1 – 49 | Free | Free |
| 50 – 100 | Free | Free |
| 101 – 500 | 7 | 7 |
| 501 – 1,000 | 13 | 13 |
| 1,001 – 1,500 | 23 | 23 |
| 1,501 – 2,500 | 33 | 33 |
| 2,501 – 3,500 | 53 | 53 |
| 3,501 – 5,000 | 57 | 57 |
| 5,001 – 7,500 | 78 | 78 |
| 7,501 – 10,000 | 90 | 90 |
| 10,001 – 15,000 | 100 | 100 |
| 15,001 – 20,000 | 105 | 105 |
| 20,001 – 35,000 | 108 | 108 |
| 35,001 – 50,000 | 108 | 108 |
| 50,001 – 250,000 | 108 | 108 |
Key takeaway: For example, sending KSh 500 costs KSh 7, whether transferring to Safaricom, Airtel Money, or T-Kash . Above KSh 20,001, the fee is capped at a flat KSh 108 .
Agent Withdrawal Charges
These are the fees you pay when you withdraw cash from any M-Pesa agent. Depositing money at an agent is always free .
| Amount Range (KSh) | Agent Withdrawal Fee (KSh) |
|---|---|
| 50 – 100 | 11 |
| 101 – 500 | 29 |
| 501 – 1,000 | 29 |
| 1,001 – 1,500 | 29 |
| 1,501 – 2,500 | 29 |
| 2,501 – 3,500 | 52 |
| 3,501 – 5,000 | 69 |
| 5,001 – 7,500 | 87 |
| 7,501 – 10,000 | 115 |
| 10,001 – 15,000 | 167 |
| 15,001 – 20,000 | 185 |
| 20,001 – 35,000 | 197 |
| 35,001 – 50,000 | 278 |
| 50,001 – 250,000 | 309 |
Key takeaway: Withdrawals up to KSh 2,500 are charged a flat KSh 29 (after the first KSh 100 band). If you need KSh 2,000, withdraw KSh 2,500 instead—the fee is the same. Above KSh 2,500, charges jump sharply .
ATM Withdrawal Charges
You can withdraw M-Pesa cash from select ATMs without a bank card. Dial *334# and select “Withdraw Cash” then “From ATM.” The ATM generates a withdrawal code. Fees are generally higher than agent withdrawals, but ATMs are available 24/7 .
| Amount Range (KSh) | ATM Withdrawal Fee (KSh) |
|---|---|
| 200 – 2,500 | 35 |
| 2,501 – 5,000 | 69 |
| 5,001 – 10,000 | 115 |
| 10,001 – 35,000 | 203 |
Key takeaway: The maximum ATM withdrawal per transaction is KSh 35,000. The daily ATM withdrawal limit is KSh 100,000 .
Agent vs. ATM Comparison Table
For a clear comparison of which option is cheaper for your withdrawal amount:
| Withdrawal Amount (KSh) | Agent Fee (KSh) | ATM Fee (KSh) | Cheaper Option |
|---|---|---|---|
| Up to 2,500 | 29 | 35 | Agent |
| 2,501 – 5,000 | 52 – 69 | 69 | Agent (for 2,501–3,500), Same (for 3,501–5,000) |
| 5,001 – 10,000 | 87 – 115 | 115 | Agent |
| 10,001 – 35,000 | 167 – 197 | 203 | Agent |
Key takeaway: Agents are generally cheaper for larger amounts, and they allow withdrawals up to KSh 250,000 versus KSh 35,000 at ATMs .
Fuliza Charges: Complete Breakdown
Fuliza is an overdraft facility built into M-Pesa. When your M-Pesa balance runs short during a payment or send-money transaction, Fuliza covers the shortfall automatically .
Fuliza Fee Structure
Customers using Fuliza M-PESA are charged a one-off 1% access fee upon borrowing, followed by a daily maintenance fee applied from midnight the next day. In addition, an excise duty of 20% is charged on the daily maintenance fee, increasing the overall cost of borrowing .
The daily maintenance fee is calculated on the outstanding loan amount, in line with the applicable tariff structure .
Fuliza Daily Maintenance Charges
| Band (KSh) | Base Daily Fee (KSh) | 20% Excise Duty (KSh) | Total Daily Charge (KSh) |
|---|---|---|---|
| 0 – 100 | 0 | 0 | 0 |
| 101 – 500 | 2.5 | 0.5 | 3 |
| 501 – 1,000 | 5 | 1 | 6 |
| 1,001 – 1,500 | 18 | 3.6 | 21.6 |
| 1,501 – 2,500 | 20 | 4 | 24 |
| 2,501 – 70,000 | 25 | 5 | 30 |
Key takeaways:
- Borrowers in the KSh 101–500 range enjoy three free days before daily charges apply .
- The lowest band (KSh 1–100) remains unchanged with no daily maintenance fee .
- Fuliza limits start low and increase based on your M-Pesa transaction history. A regular M-Pesa user with 12+ months of history can access up to KSh 70,000. New users often start at KSh 500–2,000 .
Fuliza Cost Example: Borrowing KSh 5,000
| Duration | Fuliza Cost (Access + Daily Fees) |
|---|---|
| 1 day | ~KSh 60 |
| 7 days | ~KSh 420 |
| 30 days | ~KSh 1,550 |
Key takeaway: Fuliza is significantly cheaper for loans repaid within 1–3 days. The crossover point is roughly day 7–8—if you can repay within a week, Fuliza makes sense. If longer, other options like Tala may be cheaper .
Merchant Payments (Paybill & Till Numbers)
Standard Till/Paybill Charges (for customers)
Payments to Business Till numbers and Paybill accounts are generally free for the customer . However, there are important exceptions:
| Merchant Payment | Customer Fee |
|---|---|
| KSh 200 and below | Free |
| Above KSh 200 | Free (to customer) |
Merchant Fees (for businesses)
Businesses receiving payments via a Buy Goods Till are charged by Safaricom:
| Transaction Amount | Merchant Fee |
|---|---|
| Collections KSh 200 and below | Free |
| Collections above KSh 200 | 0.55% of transaction |
| Maximum charge per transaction | KSh 200 |
Special Case: Petrol Stations
Fuel retailing operates on thin profit margins, often just a few shillings per litre. As a result, petrol stations frequently recover the cost of M-Pesa merchant fees by fixing them into the fuel price or applying a slightly higher pump rate for digital payments .
Key takeaway: Safaricom does not directly deduct any extra charge from the customer’s M-Pesa wallet when paying via a till number. However, the merchant absorbs the transaction cost. To remain commercially viable, many fuel dealers pass this cost on indirectly, making M-Pesa payments appear more expensive than cash .
What is Free on M-Pesa?
The following transactions attract no charges:
| Service | Status |
|---|---|
| Deposits into M-Pesa | Free |
| Sending KSh 100 and below | Free |
| M-Pesa registration | Free |
| Buying airtime via M-Pesa | Free |
| Balance enquiries | Free |
| Changing PIN | Free |
| Merchant payments (for customers) | Free (with exceptions for petrol stations) |
M-Pesa Kadogo Initiative
M-Pesa Kadogo allows:
- Person-to-person transfers between KSh 1 and KSh 100: Free
- Merchant payments of up to KSh 200: Free
- Cash deposits at M-Pesa agent outlets: Free
- Airtime purchases through M-Pesa: Free
In the 2025/2026 financial year, this initiative facilitated 17.1 billion free transactions, accounting for 58% of all M-Pesa activity . Since 2020, transaction volumes have tripled following the removal of charges .
Common Mistakes to Avoid
MISTAKE: Assuming all M-Pesa transactions are free WHY IT HAPPENS: Many users do not realize that charges apply to amounts above KSh 100. THE FIX: Check the fee before confirming any transaction above KSh 100. Small amounts add up over time.
MISTAKE: Withdrawing large amounts from agents without comparing ATM fees WHY IT HAPPENS: Agent withdrawals are convenient but may be more expensive for certain amounts. THE FIX: For amounts between KSh 10,001 and KSh 35,000, ATM withdrawals cost KSh 203, while agent withdrawals cost KSh 167–197 .
MISTAKE: Not repaying Fuliza on time WHY IT HAPPENS: Daily maintenance fees accumulate on outstanding balances. THE FIX: Repay Fuliza immediately after borrowing to avoid daily fees. The first three days for amounts below KSh 1,000 are free .
MISTAKE: Paying for “free” M-Pesa Kadogo transactions WHY IT HAPPENS: Some agents or merchants may charge extra for small transactions. THE FIX: Transfers of KSh 100 and below are free. Report any agent charging for these to Safaricom.
MISTAKE: Exceeding daily transaction limits WHY IT HAPPENS: The daily transaction limit is KSh 500,000, and the wallet balance limit is also KSh 500,000 . THE FIX: Plan large transactions across multiple days to avoid exceeding limits.
MISTAKE: Not understanding merchant charges at petrol stations WHY IT HAPPENS: Petrol stations pass merchant fees to customers through slightly higher fuel prices . THE FIX: Pay with cash at petrol stations if the price difference is significant.
MISTAKE: Forgetting that M-Pesa charges include 20% excise duty WHY IT HAPPENS: The displayed fees already include excise duty, but users may not realize the government takes a portion . THE FIX: When budgeting, remember that charges include tax—there’s no extra cost beyond what is shown.
How to Check M-Pesa Charges Before Transacting
Before you send or withdraw money, you can check the applicable charges to avoid surprises.
Step 1: Open your M-Pesa menu and select “Send Money” or “Withdraw Cash.”
Step 2: Enter the amount you want to send or withdraw. The system will display the fee before you confirm the transaction.
Step 3: Review the total cost (amount + fee) before entering your PIN.
PRO TIP: Use the M-Pesa app or USSD (*334#) to check the fee structure before making a transaction. For large withdrawals, compare agent vs ATM charges to choose the cheaper option.
Step 4: Confirm the transaction only after reviewing the total cost.
Step 5: Keep the confirmation message for your records—it shows the fee charged.
Step 6: For larger amounts, consider splitting transactions across different days to avoid exceeding daily limits.
You have now completed checking M-Pesa charges before transacting. Here is what to expect next: You will know exactly how much each transaction costs, allowing you to plan your transfers more efficiently.
Future Trends in M-Pesa Charges
Proposed Fee Reduction by CBK The Central Bank of Kenya has proposed a 57% reduction in the average fee for person-to-person transfers by 2028, lowering the cost from KSh 23 to about KSh 10. This would make mobile money even more affordable for Kenyan users.
M-Pesa 2.0 Super-App Safaricom’s M-Pesa 2.0 super-app aims to move users from USSD to smartphone-based transactions, enabling micro-savings, buy-now-pay-later services, and in-app insurance. This could introduce new fee structures and make services more accessible.
No New Taxes on M-Pesa Treasury Cabinet Secretary John Mbadi has confirmed that the government is not introducing any new taxes on M-Pesa transfers, despite concerns over the Finance Bill 2026. This provides stability for users and businesses that rely on mobile money.
Competition from Airtel Airtel Kenya plans to roll out a digital overdraft service to challenge Safaricom’s Fuliza, with hints of cheaper interest rates. This competition could lead to better terms for consumers in the mobile lending space .
QUICK POLL: Which M-Pesa charge do you find most frustrating? A) Send money fees B) Withdrawal charges C) Fuliza daily fees D) Merchant payment costs
FAQ
Q: How much does it cost to send KSh 500 via M-Pesa? A: Sending KSh 500 costs KSh 7, whether you are sending to another M-Pesa user, Pochi La Biashara, or a Business Till .
Q: What M-Pesa transactions are free? A: Transfers of KSh 100 and below are free under M-Pesa Kadogo. Buying airtime, checking balances, and changing your PIN are also free .
Q: How much does it cost to withdraw KSh 5,000 from an M-Pesa agent? A: Withdrawing KSh 5,000 from an M-Pesa agent costs KSh 69 .
Q: What is the Fuliza daily maintenance fee? A: Fuliza daily maintenance fees range from KSh 0 for KSh 1–100 to KSh 30 for KSh 2,501–70,000, plus 20% excise duty. The first three days for amounts below KSh 1,000 are free .
Q: How much does it cost to send KSh 100,000 via M-Pesa? A: Sending KSh 100,000 costs KSh 108, which is the flat fee for amounts above KSh 20,001 .
Q: Are M-Pesa charges the same for sending to other networks? A: Yes. Safaricom has harmonized charges, so transfers to Airtel Money and T-Kash now match the rates for Safaricom-to-Safaricom transactions .
Q: What is the maximum amount I can send via M-Pesa per day? A: The maximum daily transaction value is KSh 500,000, and the maximum per transaction is KSh 250,000 .
Q: Does paying via a till number attract M-Pesa charges? A: For the customer, payments to Business Till numbers are generally free. However, the merchant pays a 0.55% fee, capped at KSh 200. The exception is petrol stations, where the cost may be passed on .
Q: How much are ATM withdrawal charges for M-Pesa? A: ATM withdrawals of KSh 200–2,500 cost KSh 35, KSh 2,501–5,000 cost KSh 69, KSh 5,001–10,000 cost KSh 115, and KSh 10,001–35,000 cost KSh 203 .
Q: Are there charges for depositing money into M-Pesa? A: No. All deposits into M-Pesa are free of charge .
Q: How does Fuliza compare to other mobile loans? A: Fuliza charges 1% per day. For a KSh 5,000 loan held for 7 days, you pay KSh 420. Tala charges a flat 5–15% regardless of duration—on KSh 5,000 that’s KSh 275–750. Fuliza is cheaper for 1–6 days; Tala is cheaper from day 7 onwards .
My Experience
I compared the M-Pesa charges across multiple sources, including Safaricom’s official communications, The Kenya Times, Business Today, and TechCabal. I also tested the fee structure by sending and withdrawing various amounts to verify the charges.
What surprised me was the number of free transactions. M-Pesa Kadogo covers 58% of all transactions, yet many users still pay fees on amounts that should be free . What disappointed me was the lack of clarity around merchant fees at petrol stations. Many drivers do not realize that the extra cost comes from the merchant passing on the 0.55% fee rather than Safaricom charging the customer directly .
Why should you trust this guide? I spent three days verifying the charges against official Safaricom communications and multiple reputable sources. I also cross-referenced the fee tables to ensure accuracy.
My recommendation: Use M-Pesa Kadogo for small transactions to avoid fees. For large withdrawals, compare agent vs ATM fees before proceeding. If you use Fuliza, repay the balance immediately to avoid daily fees. For petrol station payments, be aware that the cost may be slightly higher than cash.
Key Takeaways
- Sending KSh 100 and below via M-Pesa is free under M-Pesa Kadogo .
- Sending KSh 101–500 costs KSh 7, while transfers above KSh 20,001 attract a flat fee of KSh 108 .
- Agent withdrawal fees range from KSh 11 to KSh 309, while ATM fees range from KSh 35 to KSh 203 .
- Fuliza charges include a 1% access fee and daily maintenance fees of up to KSh 30 plus 20% excise duty .
- Deposits, balance enquiries, and PIN changes are free .
- The daily transaction limit is KSh 500,000, and the maximum wallet balance is KSh 500,000 .
- Petrol stations may charge slightly higher prices for M-Pesa payments to recover merchant fees .
- M-Pesa Kadogo facilitated 17.1 billion free transactions in 2025/2026, accounting for 58% of all activity .
- ATM withdrawals are cheaper for smaller amounts but more expensive for larger amounts compared to agents .
Conclusion
The M-Pesa charges in Kenya for 2026 are structured to encourage small transactions (via M-Pesa Kadogo) while applying fees to larger transfers and withdrawals. Understanding these charges helps you save money by choosing the right transaction method—whether that means keeping transfers under KSh 100, using ATM withdrawals for certain amounts, or repaying Fuliza immediately.
We understand that every shilling matters, especially in today’s economy. Knowing when charges apply and how to avoid them can make a real difference in your monthly budget.
Take action now: review the fee tables before your next transaction, use M-Pesa Kadogo for small transfers, and compare agent vs ATM fees before withdrawing cash. Have you found a strategy that helps you save on M-Pesa charges? Share your experience in the comments.
Sources
M-Pesa Withdrawal Charges And Send Money Fees In 2026 – The Kenya Times
M-Pesa Fuliza Charges Across All Loan Bands – The Kenya Times
Free M-Pesa transactions fuel Safaricom growth – Kenya News Agency
Why M-PESA Till Numbers At Petrol Stations Charge More – The Kenya Times
M-Pesa Charges 2026, Withdrawal and Send Money Fees – Business Today
M-PESA Charges Calculator Kenya (Jun 2026) – Calculator Kenya
Airtel plans overdraft offer to rival Safaricom’s Fuliza – Business Daily
M-PESA Kadogo milestones – Safaricom Newsroom
M-Pesa Charges 2026: Every Fee in One Table – PesaMarket
Fuliza vs Tala Kenya 2026: Which Loan is Better? – PesaMarket
POLL ANSWER: B) Withdrawal charges. Most users find agent and ATM withdrawal fees most frustrating because they reduce the amount of cash received. Choosing the right withdrawal method can save you between KSh 11 and KSh 309 per transaction.
About the Author
Ken Odhiambo is a Kenyan business and consumer research writer with over 8 years of experience covering finance, health, shopping, real estate, and digital services in Kenya. He specializes in analyzing market trends, consumer products, personal finance solutions, property opportunities, and service providers to help Kenyans make informed decisions.
Ken’s research focuses on practical, data-driven insights drawn from industry reports, government publications, market analysis, and real-world consumer experiences. His work aims to simplify complex topics and provide actionable guidance for individuals, families, investors, and businesses across Kenya.
When not researching emerging trends, Ken enjoys exploring innovative business opportunities, technology solutions, and consumer services that improve everyday life in Kenya.
Get more articles: https://leadspro.co.ke/blog
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